Question: Formulate a linear model for the following problem. No need to solve it , but points will only be awarded if the model is completely
Formulate a linear model for the following problem. No need to solve it but points will only be awarded if the model is completely correct. Don't forget the nonnegativity constraints. Hint: It is not necessary for all variables to have the same letter, nor to be a single letter.
In the next three months, a steel company must meet the following demands: tons for the first month, tons for the second, and tons for the third. In any given month, an employee can produce up to tons of steel. Each employee has a salary of $ per month. Employees can be hired or fired at any time assuming immediate hiring at a cost of $ per dismissal and $ per hiring.
The steel can stay in inventory for $ per ton per month. Additionally, the demand can be met late at a cost of $ for each month of delay. That is if the demand for the first month is not met until the third, there is a delay cost of $ per ton.
At the start of the first month, the company has employees hired and can hire a maximum of employees per month. All demand must be met by the end of the third month. The raw material to produce one ton of steel costs $
Formulate a linear model to minimize costs.
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